The Prospect Of Long Term Unemployment

1401 Words6 Pages
People often defend their homes with every fiber of their being. No matter what’s happening, or how bad it gets, the homestead must be protected at all costs. I kind of understand that conviction. But at the same time I also wonder if homeownership can become an unsustainable burden when you’re facing a career crisis or some other sort of money crisis. In fact, there are at least five reasons why it might be better to sell your house if you were facing a money crisis, rather than trying to hold on to it. Freeing yourself to take an out-of-town job Although the housing market has at least partially recovered in most areas of the country, having to sell your home on short notice is still extremely difficult in all but the strongest market…show more content…
There is strong evidence to suggest that owning a home – particularly in a relatively small job market – is a negative when it comes to finding new employment. If you’re in a career field were job changes are frequent, and often involve moving to a distant city, you might be better off selling your home and becoming a renter. A permanent home largely depends on very stable employment, and that’s getting harder to find all the time. Moving to less expensive quarters It’s no longer unusual for people to find themselves suddenly facing the need to cut expenses drastically. This isn’t just a matter of losing your job either. There are various reasons why you may need to cut your living expenses on a permanent basis: The loss of a job may require you to take a lower paying job in order to remain employed. You could be hit with a rash of uncovered medical expenses. You may need to free up income to pay for your kids college education. With people living so much longer, you may find yourself suddenly providing financial support to an elderly family member who can longer do it for themselves. If you are in your fifties, and have little in the way of retirement savings, you may need to reduce your living costs drastically to free up cash flow to fund your retirement plans. Once the need to permanently cut your living expenses becomes
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